Leslie v. Hancock Park Capital II, L.P.

Whether a bankruptcy court's authority to recharacterize putative debt as equity arises from the bankruptcy court's general equitable powers under 11 U.S.C. § 105(a) as announced in Pepper v. Litton (as five circuits have held) or arises under 11 U.S.C. § 502(b), thus restricting the bankruptcy court's equitable powers to applicable state law (as two circuits have held).